Under the Effective-Interest Method of Amortization, the Amount of Discount

Multiple Choice

Under the effective-interest method of amortization, the amount of discount amortized each interest period is equal to the:

A) total discount divided by the number of interest payments to be made
B) amount of interest expense plus the cash paid
C) amount of interest expense less the cash paid
D) total amount of interest expense divided by the number of interest payments to be made